Strategy

Short Code vs 10DLC: Which Should Your Business Choose in 2025?

Jennifer Walsh
August 2025
10 min read

The landscape of business text messaging has fundamentally changed. Short codes, once the gold standard for high-volume messaging, are facing new challenges while 10DLC has emerged as the preferred solution for most businesses.

The decision isn't just about cost—it's about deliverability, compliance, and long-term messaging strategy.

This comprehensive comparison will help you choose the right messaging approach for your business in 2025 and beyond.

Understanding the Basics

What Are Short Codes?

Short codes are 5-6 digit phone numbers (like 12345 or 567890) specifically designed for high-volume business messaging. They've been the enterprise standard for over a decade.

Examples You've Seen:

  • • Bank alerts from 69876
  • • Political campaign messages from 88022
  • • Retail promotions from 45555
  • • Contest entries to 67283

What Is 10DLC?

10DLC (10-Digit Long Code) uses standard 10-digit phone numbers (like local business numbers) that have been registered and verified for business messaging through The Campaign Registry (TCR).

Examples You've Seen:

  • • Appointment reminders from (555) 123-4567
  • • Order confirmations from (312) 555-9876
  • • Customer service from (800) 555-2345

The Complete Comparison

Setup and Implementation

FactorShort Code10DLC
Setup Time8-12 weeks1-3 business days
Approval ProcessExtensive carrier reviewAutomated + quick manual review
Required DocumentationDetailed compliance documentationStandard business registration
Initial Investment$1,000-3,000$15-100
ComplexityHigh - requires legal/compliance teamModerate - can be self-managed

Costs and Pricing

Cost TypeShort Code10DLC
Setup Fees$500-2,000$15-100 (one-time)
Monthly Lease$1,000-1,500$0
Per-Message Cost$0.01-0.03$0.01-0.03
Carrier Registration$500-1,000/carrierIncluded
Compliance Costs$2,000-5,000/yearMinimal
Total First Year$15,000-25,000$200-1,200

Performance and Deliverability

MetricShort Code10DLC
Throughput100+ messages/second1-10 messages/second
Delivery Rate95-99%95-98%
Carrier SupportUniversalUniversal (AT&T, T-Mobile, Verizon)
InternationalLimitedNo
Two-Way MessagingYesYes
Rich Media (MMS)YesYes

When to Choose Short Codes

Ideal Short Code Scenarios

High-Volume Marketing Campaigns:

  • • Sending 100,000+ messages per day
  • • National promotional campaigns
  • • Contest and sweepstakes entries
  • • Mass market research surveys

Examples:

  • Retail Chain: "Text SAVE to 12345 for 20% off"
  • Political Campaign: Mass voter outreach
  • Media Company: Breaking news alerts to millions
  • Enterprise: Large-scale employee communications

Short Code Advantages

Massive Throughput:

  • • Handle millions of messages per day
  • • No daily sending limits
  • • Instant message delivery even during peak times
  • • Built for viral campaigns and time-sensitive offers

Established Infrastructure:

  • • 15+ years of carrier relationships
  • • Proven compliance frameworks
  • • Extensive documentation and best practices
  • • Integration with major marketing platforms

Regulatory Clarity:

  • • Well-established compliance requirements
  • • Clear guidelines for content and consent
  • • Fewer gray areas in interpretation
  • • Extensive legal precedent

Short Code Challenges in 2025

Declining Effectiveness:

  • • Lower engagement rates (customers recognize promotional nature)
  • • Increased opt-out rates
  • • Poor brand recognition
  • • Generic appearance reduces trust

High Barrier to Entry:

  • • $15,000-25,000 first-year investment
  • • Complex setup requiring specialized knowledge
  • • Long approval timelines miss market opportunities
  • • Ongoing compliance costs and complexity

Limited Flexibility:

  • • Difficult to change messaging strategy mid-campaign
  • • Carrier approval required for content changes
  • • Shared infrastructure with other businesses
  • • One-size-fits-all approach doesn't suit all businesses

When to Choose 10DLC

Ideal 10DLC Scenarios

Ongoing Customer Relationships:

  • • Appointment reminders and confirmations
  • • Order updates and shipping notifications
  • • Customer service and support
  • • Account alerts and notifications

Local and Regional Businesses:

  • • Professional services (dental, legal, medical)
  • • Restaurants and hospitality
  • • Retail stores and service providers
  • • Real estate and property management

Examples:

  • Medical Practice: "Hi Sarah, appointment tomorrow at 2 PM with Dr. Smith"
  • Restaurant: "Your takeout order is ready for pickup"
  • Auto Service: "Your car is ready. Total: $285.50"
  • Real Estate: "New listing matches your criteria. View here: [link]"

10DLC Advantages

Cost-Effectiveness:

  • • 90% lower setup and ongoing costs
  • • No monthly lease fees
  • • Pay only for messages sent
  • • Quick ROI from day one

Speed to Market:

  • • Launch campaigns in days, not months
  • • Rapid testing and iteration
  • • Quick response to market opportunities
  • • Immediate revenue generation

Brand Recognition:

  • • Local phone numbers build trust
  • • Professional appearance
  • • Branded messaging experience
  • • Higher engagement rates

Flexibility and Control:

  • • Easy content updates and changes
  • • Multiple campaign types from one number
  • • Two-way communication capabilities
  • • Integration with existing business systems

10DLC Limitations

Throughput Constraints:

  • • 1 message per second (standard trust score)
  • • 10+ messages per second (enhanced verification)
  • • Not suitable for massive blast campaigns
  • • Daily volume limits based on trust score

Newer Regulations:

  • • Evolving compliance requirements
  • • Learning curve for implementation
  • • Varying carrier policies
  • • Need for ongoing compliance monitoring

Industry-Specific Recommendations

Healthcare and Medical

Recommendation: 10DLC

  • • HIPAA compliance requirements favor controlled, traceable messaging
  • • Patient communication is relationship-based, not mass marketing
  • • Local phone numbers increase patient trust
  • • Appointment-based messaging doesn't require high throughput

Retail and E-commerce

Recommendation: Depends on Scale

  • Large Retailers (10M+ customers): Short Code for promotional campaigns
  • Small-Medium Retailers: 10DLC for order updates and customer service
  • Hybrid Approach: 10DLC for transactional, Short Code for promotional

Financial Services

Recommendation: Both

  • Short Code: Mass marketing and customer acquisition
  • 10DLC: Account alerts, fraud notifications, customer service
  • • Regulatory compliance requires careful implementation of both

Professional Services

Recommendation: 10DLC

  • • Client relationships are personal and ongoing
  • • Local presence is crucial for trust
  • • Lower message volumes don't require short code throughput
  • • Cost-effectiveness important for smaller practices

Real Estate

Recommendation: 10DLC

  • • Relationship-based communication
  • • Local market focus aligns with local phone numbers
  • • Moderate message volumes
  • • Quick setup allows rapid market response

ROI Analysis: Real Numbers

Small Business Example (1,000 messages/month)

Short Code Costs:

  • • Setup: $2,000
  • • Monthly lease: $1,200
  • • Messages: $30
  • Annual Total: $16,430

10DLC Costs:

  • • Setup: $50
  • • Monthly platform: $50
  • • Messages: $30
  • Annual Total: $650

Savings: $15,780 (96% cost reduction)

Enterprise Example (100,000 messages/month)

Short Code Costs:

  • • Setup: $3,000
  • • Monthly lease: $1,500
  • • Messages: $3,000
  • • Compliance: $500
  • Annual Total: $63,000

10DLC Costs:

  • • Setup: $200
  • • Monthly platform: $500
  • • Messages: $2,000
  • Annual Total: $30,200

Savings: $32,800 (52% cost reduction)

Decision Framework

Choose Short Code If:

  • • [ ] You need to send 100,000+ messages per day
  • • [ ] Your primary use case is mass marketing campaigns
  • • [ ] You have budget for $15,000+ annual investment
  • • [ ] You have dedicated compliance resources
  • • [ ] Your business model depends on viral/time-sensitive campaigns
  • • [ ] You're targeting a national audience without local presence needs

Choose 10DLC If:

  • • [ ] You need ongoing customer communication
  • • [ ] Your message volume is under 50,000 per day
  • • [ ] Cost-effectiveness is a priority
  • • [ ] You want quick implementation (days not months)
  • • [ ] Local presence and trust are important
  • • [ ] You need two-way communication capabilities
  • • [ ] Your messaging is primarily transactional or relationship-based

Consider Both If:

  • • [ ] You're a large enterprise with diverse messaging needs
  • • [ ] You have both mass marketing and customer service requirements
  • • [ ] Budget allows for multiple messaging strategies
  • • [ ] You want maximum flexibility and redundancy

The Bottom Line

For 90% of businesses, 10DLC is the better choice in 2025.

The combination of cost-effectiveness, quick implementation, local trust-building, and reliable deliverability makes 10DLC the smart choice for most business messaging needs.

Ready to Make the Right Choice?

Get a custom recommendation based on your specific business needs and objectives.

Still Not Sure? Take Our Quiz

Answer 5 quick questions to get a personalized recommendation:

  1. 1. What's your typical monthly message volume?
  2. 2. What's your primary messaging goal?
  3. 3. What's your budget for messaging infrastructure?
  4. 4. How quickly do you need to launch?
  5. 5. What's your target audience size?

Short codes remain valuable for: Enterprise-scale marketing campaigns, time-sensitive mass communications, businesses with unlimited messaging budgets, and use cases requiring maximum throughput.

The future of business messaging is 10DLC for ongoing customer relationships, with short codes serving specialized high-volume needs.